Brazil’s congress will reportedly receive a plan for the Federative Pact reform next week, which would ease concerns about the public finances. But we don’t think worries that the government might break the spending cap have gone away for good. Elsewhere, the Mexican peso has been one of the best performing EM currencies recently and, while we expect it to hold up well, we see only limited scope for further appreciation.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services